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Argentinean land investments - case study with Robin King, movewithus founding director

8 February 2008

Robin King, movewithus founding director, invested in Argentinean arable land in 2006 while putting together movewithus’ Project Greengold investment.

Two years on, he is reaping the rewards. In this interview, King talks about his reasons for investing in Argentina, how his investment holds up in the current market and his thoughts for the future.


What initially attracted you to an Argentinean land investment?

“The prices of soft commodities in 2006 were relatively low. At the time, the price of grain and beans were in the lower points of the ‘economic cycle’ with prices ready to rise. I decided that it was the right time to invest and take advantage. Argentina is becoming more and more popular for ambitious investors who want to take advantage of one of the world’s emerging economies, with land investments particularly popular.”

What made you choose Argentina over the UK?

“Compared to the UK, investment in Argentinean land is a far more lucrative proposition. Because of the climate and increased natural water resources, it is possible to get two harvests per year. Although these are not guaranteed, the possibility means that investors could receive a substantial bonus if the conditions are right. When I invested in 2006, Argentinean land was one quarter of the price of UK land. Additionally, soft commodities are listed in world markets and priced in US dollars. This means that they are not affected by any currency crisis cycles in Argentina itself.”

Has the value of your investment appreciated since you initially invested?

“The investment has proven to be sound financially so far. My investment is such that I receive 40% of the yield and the manager of the land receives 60%. In the past year alone, the yield has increased in value by 20% and the land by 30%. It reflects the soft commodity rise in price worldwide, a trend which is set to continue for the next five years. During the first year of my investment, soya crops were grown and in the second, barley.

What are the differences between your investment and Project Greengold?

I have to deal with the administration of my land investment myself. Percentages for the yields are split between myself and the land manager. The benefit of Project Greengold is that the hassle of management and administration is eliminated. The risk is also substantially lower, with investors guaranteed a minimum return every year, plus more if the yields exceed this minimum. movewithus manage every aspect, meaning that the investor can just sit back, relax and let their investment work for them.